Parallels SMB Cloud Insights™ for Asia Pacific Details the Most Profitable Opportunities for Delivering Cloud Services to Small and Medium Businesses

September 21, 2012

SMB cloud market expected to grow by 38 percent annually and reach US$19.8 billion in 2015

SINGAPORE – 21 September 2012 – Parallels, a hosting and cloud services enablement leader, today released the key findings of Parallels Asia-Pacific SMB Cloud Insights™, a detailed report illustrating how service providers can profit by delivering cloud services to small and medium businesses (SMBs). Parallels estimates that APAC SMB cloud services market opportunity in 2012 is worth is US$7.6 billion, and will grow 38 percent annually (CAGR), reaching US$19.8 billion in 2015. Parallels also expects China, which has 3.3 million SMBs, and India, which has 3.5 million SMBs, will continue to be the leading growth markets for cloud services in Asia Pacific. SMBs across APAC have a high willingness to adopt cloud services, indicating that they are likely to go straight to the cloud, rather than taking the intermediate step of installing in-house IT solutions.

“While the opportunity for service providers to serve SMBs in developed Asian markets remains vibrant, developing countries are poised for significant cloud services growth as they continue to build out their Internet infrastructure and drive demand for web presence and hosted infrastructure,” said said David Dzienciol, Regional Vice President and General Manager Parallels in Asia Pacific. “Parallels SMB Cloud Insights™ for the APAC region not only highlights the opportunities available for service providers to take advantage of the cloud, it offers specific strategies to differentiate themselves by creating market-specific bundles of the most in-demand applications and services.”

Country specific findings in Parallels SMB Cloud Insights™ for Asia-Pacific include:

  • Australia
    Parallels predicts the Australian SMB market will grow by AUD$630 million over the next three years, reaching AUD$1.5 billion in 2015. As a more mature market with SMBs having well-established web presence, Australia’s demand for new cloud services continues to be driven by hosted infrastructure and business applications.

  • Japan
    Japan, while also a mature market, still represents an estimated ¥131 billion (US$1.6 billion) market in 2012 across all categories of cloud services. Japanese SMBs have grown their use of online applications by 20 percent since last year. Service providers can also benefit by creating bundles of cloud applications, as 34 percent of Japanese SMBs report significant interesting in buying a discounted package of cloud services.

  • China
    Parallels estimates that the Chinese SMB cloud services market opportunity in 2012 is worth ¥10.8 billion RMB and expects it to grow by 31 percent annually (CAGR) over the next three years, reaching ¥24.2B RMB (US$3.8 billion) in 2015. Seventy-two percent of Chinese SMBs still have not deployed servers. Parallels expects this group to drive much of the growth of the hosted infrastructure market in the near term.

  • India
    Parallels estimates the Indian cloud services market to be worth 11.9 billion (US$216 million) in 2012, and expects it to grow 45 percent annually (CAGR), reaching 36.9 billion (US$664 million) in 2015. Seventy-eight percent of Indian SMBs report they are planning to add hosted servers/hosted infrastructure capabilities in the next three years.

The new APAC Regional report expands the Parallels SMB Cloud Insights series to fifteen current regional profiles, including new individual reports for China and India, plus reports for Japan, Australia, United Kingdom, France, Spain, Germany, Netherlands, Poland, United States, Mexico, Brazil, and a global profile. The existing reports are available for download at, and the new China, India and APAC Regional reports will be available immediately to Parallels Summit 2012 APAC attendees, then available online on September 24.

About Parallels
Parallels is a worldwide leader in hosting and cloud service enablement and desktop virtualization. Founded in 1999, Parallels is a fast-growing company with more than 900 employees in North America, Europe, and Asia.

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